ANCHOR NATIONAL LIFE INSURANCE COMPANY
VARIABLE ANNUITY ACCOUNT THREE
___________________________________________________________________
SUPPLEMENT TO PACIFICA VARIABLE ANNUITY PROSPECTUS
DATED JANUARY 2, 1996
ANNUAL TRUST EXPENSES*
(as a percentage of average net assets for the period
January 2, 1996 (Inception Date) to March 31, 1996)
<TABLE>
<CAPTION> Advisory Administration Other Total Annual
Fee Fee Expenses Expenses
-------- --------------- -------- ------------
<S> <C> <C> <C>
Emerging Growth............ .75% .05% .40% 1.20%
Equity Value............... .75% .05% .40% 1.20%
Balanced................... .75% .05% .40% 1.20%
Intermediate Bond.......... .65% .05% .40% 1.10%
Money Market............... .60% .05% .40% 1.05%
</TABLE>
* During the period for which fund expenses are reported, the
investment adviser waived a portion of fees and assumed a portion of
expenses for the Portfolios. If all fees and expenses had been
incurred by the Portfolios, the ratio of expenses to average net
assets for each Portfolio would have been as follows: Emerging Growth
(2.05%); Equity Value (2.04%); Balanced (2.05%); Intermediate Bond (1.91%);
Money Market (1.83%).
THE ABOVE TRUST EXPENSES WERE PROVIDED BY THE TRUST. NEITHER THE
COMPANY NOR THE SEPARATE ACCOUNT HAVE INDEPENDENTLY VERIFIED THE
ACCURACY OF SUCH INFORMATION. THE COMPANY AND THE SEPARATE ACCOUNT
DISCLAIM ALL LIABILITY FOR ANY CLAIM, LOSS OR EXPENSE RESULTING FROM
ANY ALLEGED ERRONEOUS INFORMATION ABOUT THE TRUST.
Date: July 2, 1996
Please keep this Supplement with your Prospectus
